Syndication Confirmation for New Deal

[Ryan Rogers]

Looking at purchasing a move-in ready 3bd/2ba property for $115,000 and I think it's worth $130,000 ish. Plan is to rent for $1,200 and I believe I can get renters in the property in less than two months. I plan to use the lender I just used to purchase my primary residence and she said I can get a conventional loan, right around 5%, with 25% down ($28,750) on the property. I have $10,000 ready to throw at this deal and am wondering if syndication can help. I know I have 4-5 buddies that I could most likely get to come in for 2-5k a piece.

Plan is to purchase the property, get renters, refinance, pull out my down payment (if appraised at expected value). Contractually for my partners, I am considering guaranteeing a monthly return on their money with the option to get 100% of their money back after 12 months if they don't want to continue investing with me. Wanting some expert advice before I pull the trigger. Thoughts?